3 sad signs that you are middle class and always will be

You can also rolling a 401 into an IRA

And do a ROTH Ira conversion and pay taxes upfront so it grows tax free (very popular if you make too much money to contribute to a ROTH)

Of course 401k is taxable (and that's because it was pre tax dollars to begin with- if you don't understand that you're an idiot). That doesn't make it a bad deal at all. It's a great deal, max it out to 17-18k per year

ROTH is taxed up front but then can live on tax free at retirement

Go away. BS like this on a running-related board is tiresome.

1) You are so insecure about yourself you spend time thinking about how superior you are to others.

2) See 1)

Obvi wrote:

1) You are so insecure about yourself you spend time thinking about how superior you are to others.

2) See 1)

I'm insecure about this country and its ability to save for retirement. We're headed for disaster as a country and the result will be seniors living on dogfood or else bankrupting the taxpayers to beef up social security for all. We're all on the same team. None of us wants to see those things happen and that's why I fight every day to change course.

lolwut wrote:

Kemnend wrote:

3) you don't know what an IRA or Roth IRA is and the differences

Roth IRA caps out at like $130k individual or $200k household married. That's middle class.

Rich people make too much to contribute to a roth ira

Back Door Roth IRA baby! Look it up, it's a thing of beauty.

I don't give a damn what stratum I'm in. All I want to do is get the best job possible to me, make as much as I can, and keep it all for myself. That's all anyone can do.

I can guarantee that I am at least one standard deviation above David Ramsey on an IQ test.

Small minded life plans from a small mind.

David.

Ramsey.

.dot.

gone

living the back door wrote:

lolwut wrote:

Roth IRA caps out at like $130k individual or $200k household married. That's middle class.

Rich people make too much to contribute to a roth ira

Back Door Roth IRA baby! Look it up, it's a thing of beauty.

a back door roth is not for everyone. if you believe you will be in a lower tax bracket in the future, its better to stay in a 401k.

not for everyone wrote:

living the back door wrote:

Back Door Roth IRA baby! Look it up, it's a thing of beauty.

a back door roth is not for everyone. if you believe you will be in a lower tax bracket in the future, its better to stay in a 401k.

I was recently thinking about this. I’m in the highest bracket now #humblebrag. In theory i can only be in the same or lower bracket when I take my distributions. BUT what if taxes overall increase by that time (30 yrs)??? Seems like a real possibility given the massive deficit trump is running. This is another instance of the boomers being the worst generation and looting future gens and the planet dry.

You can not borrow your way out of depth, or out work your own stupidity.

not for everyone wrote:

living the back door wrote:

Back Door Roth IRA baby! Look it up, it's a thing of beauty.

a back door roth is not for everyone. if you believe you will be in a lower tax bracket in the future, its better to stay in a 401k.

My company 401k has both traditional and roth options, you can invest in one or the other or both if you want to cover your bases.

Bullet_Proof wrote:

olyrun wrote:

You always do what your spouse tells you.

You always do what your parents tell you.

You always do what your boss tells you.

Wow. This post hurts. It hurts because it is true. Yikes. The only glimmer of hope if these three statements can be viewed as a spectrum and not a binary. Then people could say well 90 percent of the time I don't do what my parents tell me to do, then that would feel better than someone who does 100% of what their parents tell them to do. Same goes for boss and spouse.

Don’t play the victim card, once you stop the game and play by your rules then it shouldn’t hurt as bad.

Richer than them wrote:

I think people are missing the definition of what middle class is. Middle class is NOT BEING ABLE to afford nice things like a new car. Would you argue a person worth $12M, but drives a 10 year old camry, middle class? No, you would say he is very wealthy and lives well below his means. On the other side--a person who makes $500k a year but is in debt. I would argue he is much closer to Middle Class than the example above as he cannot afford any more things.

"Class" isn't about assets, although assets are a limiting factor. If you have a ton of money in the bank but live a typical life- cheap cars, public schools, limited travel, your friends are middle class - then you're middle class. Conversely, if you live beyond your means and send your kids to elite schools, buy new flashy cars, vacation in Aspen, etc., you're upper class . This is more obvious in class conscious societies like England, but it still applies in the U.S.

No, i believe your interpretation is overly consumerist in its bias.

Accepted models of social class determination are based on 4 criteria: Income/wealth, occupation, prestige, and education. As an example, if a professor or doctor or lawyer, for example, with a good job and good credentials drove a beat up car, never vacationed, sent their kids to public schools, but went to the symphony often and literary readings, we would say he/she was upper class, clearly. It's not just what someone buys and where they vacation.

heyyo wrote:

not for everyone wrote:

a back door roth is not for everyone. if you believe you will be in a lower tax bracket in the future, its better to stay in a 401k.

I was recently thinking about this. I’m in the highest bracket now #humblebrag. In theory i can only be in the same or lower bracket when I take my distributions. BUT what if taxes overall increase by that time (30 yrs)??? Seems like a real possibility given the massive deficit trump is running. This is another instance of the boomers being the worst generation and looting future gens and the planet dry.

this is the correct calculus. current tax bracket vs. future. i'm also in the highest bracket and hope that the rate won't be going up....